IMF approves $15.6 bln Ukraine loan, part of $115 billion in global support

1/4/2023 6:08

        The International Monetary Fund said on Friday its executive board approved a four-year $15.6 billion loan program for Ukraine, part of a global $115 billion package to support the country's economy as it battles Russia's 13-month-old invasion.
        
        The decision clears the way for an immediate disbursement of about $2.7 billion to Kyiv, and requires ambitious reforms of Ukrainian officials, especially in the energy sector, the Fund said in a statement.
        
        The Extended Fund Facility (EFF) loan is the first major conventional financing program approved by the IMF for a countryinvolved in a large-scale war. The size of the overall package is meant to signal the global community's commitment to continue supporting Ukraine in the war, sources said.
        
        Ukraine's previous, $5 billion long-term IMF program was canceled in March 2022 when the fund provided $1.4 billion in emergency financing with few conditions. It provided another $1.3 billion under a "food shock window" program last October.
        
        The latest loan is expected to unlock about $100 billion worth of additional international support for Ukraine. An IMF official said the $115 billion package includes the IMF loan, $80 billion in pledges for grants and concessional loans from multilateral institutions and other countries, and $20 billion
        worth of debt relief commitments.